CME CEO: trade.xyz and Hyperliquid Impacting U.S. Market

08/21 01:06

On August 21, Terry Duffy, Chairman and CEO of the Chicago Mercantile Exchange (CME) Group, stated this morning at the CFTC Innovation Advisory Committee meeting that trade.xyz and Hyperliquid are having a substantial impact on the U.S. market. trade.xyz is a major market maker on the Hyperliquid platform, focusing on perpetual contracts for stocks, commodities, and pre-IPO assets, with its trading volume accounting for a significant share of Hyperliquid. Duffy has previously expressed concerns about the leverage and regulatory issues associated with such offshore platforms. Additionally, Duffy engaged in a heated exchange regarding predictive market regulatory issues with CFTC Chairman Michael Selig and Kalshi COO Luana Lopes Lara. He noted that some predictive market contracts are at risk of manipulation, particularly those listed through self-certification. He pointed out that certain contracts related to the content of former President Trump's State of the Union address and the timing of Venezuelan President Maduro's ousting may be subject to manipulation, which he stated is detrimental to the entire industry.
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